I don't give cryptocurrencies the love they deserves. I ought to. I spend too much time listening to the naysayers, pessimists, and cynics. The endless debates over the classification of BitCoin (or any crypto) being a currency, a commodity, or a risk-asset. Is it a bubble or is it a tulip?
The questions usually go; how can any such asset have any sustaining utility when characterized by wildly fluctuating values? From a currency perspective, that undermines its function as a unit of account (except for the fact that it is denominated in dollars), and how could it be considered a true store of value when in the morning it may be worth 30% less on any given day? Another imponderable is why the value increases at almost exponential rates at times. That's the domain of commodities, not currencies. True, bitcoin is limited to 21 million coins, but the mining congress can just fork the chain. The supply is theoretically endless.
Regardless of how many angels can dance on the head of a pin and other forms of dialectic reasoning, we have serious business to attend to.
-Reveal your secrets-
Using simple Harmonic Analysis I have resolved two ABCD waves, one on top of the other. The first wave CD extension, to within pennies, corroborates the strength of the pattern and unwittingly correctly predicted support for the BC corrective leg of the second wave.
Assuredly, this is not seen very frequently but it must be observed and obeyed.
I have decided to publish this chart today with the following trade plan: Enter Long BTCUSD, anything above ~4500. Stop-loss: ~3590. Target 1: ~4950. Target 2: ~5410. This gives us a 1:2 risk:reward ratio.
The trick with the limitation of bitcoin quantity is that forking the chain doesn't increase the number of coins available in bitcoin but instead creates a new currency hydra with a completely different name, ticker, group of zealots, and market cap.
Now, the question is, will a code change ever be introduced to increase the maximum number of coins available within Bitcoin? This would allow miners to discover more coins after the limit is reached. A change in the code like that could be very interesting--and would have affects on all the other crypto currencies around Bitcoin. If this change were practical/reasonable, I'd expect it to be implemented in Litecoin first (but Litecoin already has 4x the coin limit that Bitcoin has) :)
Now, the question is, will a code change ever be introduced to increase the maximum number of coins available within Bitcoin? This would allow miners to discover more coins after the limit is reached. A change in the code like that could be very interesting--and would have affects on all the other crypto currencies around Bitcoin. If this change were practical/reasonable, I'd expect it to be implemented in Litecoin first (but Litecoin already has 4x the coin limit that Bitcoin has) :)